SIE practice questionmediumMunicipal Bonds - Revenue Bonds
The main source of repayment for a municipal revenue bond is:
- AAd valorem taxes
- BIncome taxes
- CTolls, fees, or specific project revenues✓ Correct answer
- DState appropriations
Explanation
Why C — Tolls, fees, or specific project revenues
Revenue bonds are repaid exclusively from project or facility revenues like tolls or user fees. GO bonds are repaid from taxes; appropriations are not primary sources.
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